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Car renting in Ecuador works a little different from the first world. For the exploring, you´d probably better off with SUV or pick up truck with alloy rims!!! coz the sheet metal ones will be damaged (bent). It will cost you at least $65 per day with at least $1500 held on your credit card and you´ll have to prepay in cash the rental charges. My opinion is that you have to be a better than an average driver (with manual transmission, of course!!!) and be able to find your way with a map and by intuition, as there are very few signs on the roads.
Regular gas is around $1.47 per gallon, diesel $1.02 per gallon. Diesel vehicle will cost you a little more to rent.
Good luck!

Thanks for the good information. When I said "exploring" I didn't mean off-roading or looking for remote places. I was planning on just taking the main roads between cities and keeping it pretty simple.  I've rented cars before in Costa Rica with credit card and no deposit and didn't have a problem..so I was hoping Ecuador wouldn't be too much different. But $65/day isn't cheap either..

Are there websites for car rental agencies or is it something you need to find locally?

Most of the major car rental companies have offices in Ecuador. Some will only let you pick up from Quito or Guayaquil but Avis () will let you pick up from about 10 cities in Ecuador including Esmeraldas and Manta on the coast. You can also book the car online before you arrive here. Just enter the name of the city you want, the type of car, and your credit card details.

They are very expensive so try and get unlimited kms rather than the standard 100 per day. I made that mistake and paid $0.85/km for over 500 kms. Also make sure you take all the insurances even though they add about $30/day to the cost of the vehicle.

I understand, exploring does not mean off-roading, still, anywhere you go, there will be some parts or most parts of the highways that are damaged/not finished, so, remember, get something with alloy wheels!!! Of course, you should get a deal with unlimited kms. On my experience, major chains are just more expensive. There are like literally 20-30 rental agencies within 500 yards from the airport. After many rentals, I personally prefer a diesel pick up, like Mazda BT-50 or Chevy LUV D-Max, you can get those at $65 free kms around the airport at weekdays, and then just not worry about quality of the pavement. Make 100% sure you get a valid SOAT (liability insurance) card alone with a valid vehicle registration or every police checkpoint will cost you $20+. 
If any more questions, please post.
Good luck!

My fiancee and I will be down in August to travel the same stretch of coastline.  We are looking for somewhere to rent--preferably a smaller coastal town--for at least six months to a year.  I finally got fed up with life in the States about two months ago and started writing a blow-by-blow blog about my escape attempt.  Can't wait to get down there and discover why I quit my job two weeks ago!
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